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Mark Zuckerberg, Meta Directors Settle Privacy Case For $190 Million

Mark Zuckerberg via X

Mark Zuckerberg and a group of current and former Meta directors have agreed to pay $190 million to settle a shareholder lawsuit accusing them of failing to protect Facebook users’ privacy.

The derivative case claimed leadership allowed widespread data misuse that led to billions in fines, including the $5 billion penalty tied to the Cambridge Analytica scandal.

The company’s board also agreed to strengthen policies on director conduct, insider trading, and whistleblower protections.

Shareholders had originally sought $8 billion, alleging that Meta leaders ignored oversight duties while user data was improperly accessed without consent.

The settlement halts a high-profile trial that was expected to feature testimony from Zuckerberg, Marc Andreessen, Sheryl Sandberg, Peter Thiel, and others.

The payout will come from directors’ and officers’ insurance and marks the second-largest Delaware derivative settlement involving oversight failures. Plaintiffs’ attorneys will seek up to 30% of the award in fees.

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